How to apply for a mortgage

Let’s find out together 
4.11.2022 2 minuti di lettura

Foreigners can buy a house in Italy without any restrictions and following the same path as italians. But, do you have all the money you need to buy a house? No? So, you need to apply for a mortgage; let’s find out how you can apply.


How to apply, the main steps
Non Italian residents are allowed to apply for a mortgage in Italian banks, both for purchase property and renovation.
Mortgage approval success chances depend on several factors such as applicant's nationality, domicile, personal conditions like employment, marriage and financial status and the property you are considering to buy. To receive the loan amount you have to wait a few weeks, because the bank has to check different elements to establish the loan amount, timing, costs and evaluation parameters. 

These are the steps to follow:

  1. personal solvency check: the bank reviews your financial situation and the property informations;
  2. pre-approval mortgage application: pre approval letter, that you can ask if the mortgage application is a contingency for you to proceed with the purchase;
  3. property compliance check: A surveyor appointed by the bank checks the property for an evaluation report;
  4. Title check: a notary reviews the property title and issues;
  5. mortgage approval: if all the steps before show that the property has no problems and your personal financial check is positive, the bank issues a formal mortgage approval;
  6. signing the contracts: after the approval, you have to sign in front of the notary, at the same time, the mortgage contract and the purchase contract in order to transfer the ownership of the property. After this step, the funds will be released. 

Usually, the bank does not grant a mortgage that covers 100% of the cost of the property. Instead, the maximum mortgage is about 80% of the purchase price. 


Bank account
In order to complete the mortgage application process, an Italian bank account - usually in the same bank - is essential and it is called a “non resident bank account”.  Moreover, it is required to set up automatic mortgage payments. 
If you already have a bank account you only apply for a mortgage for your dream property in Italy. 

Italian rules let you save time and money if the existing owner has a mortgage on the property. If so, you have to analyze the terms and conditions of the mortgage and if it is suitable to you, you could undertake it. But it is not always possible.

When you want to buy a house in Italy you should consider all costs connected to a mortgage, such as:

  • mortgage application fee;
  • surveyor fee;
  • mortgage taxes;
  • appraisal;
  • notary fees;
  • home insurance and interpreter fees, as necessary.

Kaaja can help you every step of the way. You can rely on qualified professionals in real estate who can help you to look for your new house and go through the paperwork to end up signing the contract. 
If you need more information on Kaaja services, check the website or contact us.

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